Wise Giving Wednesday: Donating Before New Year’s Eve

Tick tock, the donation clock for getting a 2016 tax deduction chimes at midnight on December 31
^st. The remaining days of the year are usually one of the busiest for charitable gifts. So here are some tax
tips to keep in mind to help you ensure your donation is deductible. If you need assistance beyond the advice provided
below, see your accountant, attorney and/or review the latest version of
IRS Publication 526 which discusses how to claim a deduction for charitable contributions.

Verify charitable tax-exempt status.

Look up the organization’s name on the
IRS search engine to verify it is eligible to receive contributions deductible as charitable gifts. Generally,
these are organizations tax exempt under section 501(c)(3) of the Internal Revenue Code. You need to know the exact
full name of the charity to conduct a proper search on this IRS page. Keep in mind that if the organization is a
church or other house of worship, you may not find them on this list since such groups are not required to apply
for tax-exempt charity status.

Donating by December 31
^st.

If you mail a check using the U.S. Postal Service, you can usually go by the delivered when mailed rule.  However,
this same rule may not apply when using another mailing service. If you are contributing online, as long as the transaction
is posted before midnight on December 31
^st, it can count as a 2016 donation for tax purposes.

In-kind donations.

If you are taking a deduction for goods you donated to charity in 2016, keep in mind the goods should be in good used
condition. If the item is unsalable, like a torn sweatshirt, it is not deductible. Also, it is up to you, not the
charity, to accurately assign the proper fair-market-value to the donated goods.  If the items are used, their
value is what they would normally sell for in a charity thrift store in their current condition.  If your in-kind
gifts total $500 or more, you will need to complete and attach
IRS Form 8283 to your 2016 Tax Return. If your claimed value of an item donated is greater than $5,000, you will
need an outside appraisal (for more details see
IRS Publication 561 on donating the value of donated property.)

Donating your car.

In addition to the

Car Donation Tips
provided on another page the Give.org website, check out the IRS Publication on

Vehicle Donations
.  Depending on the claimed value of your car donation, you may need to get a written acknowledgement from the
charity that includes certain information specified in the mentioned IRS publication.  Keep in mind that if
the charity sells your used car, your deduction is generally limited to the gross proceeds the charity receives from
the sale, which may be significantly less than the current fair-market sales value of the car.

Of course, we also encourage you to find out if the charity you choose to support meets the 20

BBB Standards for Charity Accountability
by viewing available reports on Give.org

On a separate note, as part of our Building Trust Video Series we are pleased to provide a video that features James
Firman, President & CEO,
National Council on Aging (a
BBB Accredited Charity) which helps people aged 60 and older meet the challenges of aging, particularly in relation
to health and economic security issues. Programs include but are not limited to job and volunteer placement, counseling,
educational workshops, and chronic disease management programs.

We are always working with charities to publish or update reports for donors. Visit
Give.org or local BBBs to check out any charity before giving.

Finally, remember to let us know by going to 
https://www.give.org/ask-us-about-a-charity1/ if you are  interested in seeing a report on a charity
not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO

BBB Wise Giving Alliance